降息来了，理财狂欢？

Group 1 - The financial industry received two significant announcements on May 20: a reduction in the Loan Prime Rate (LPR) and a collective decrease in deposit rates by state-owned banks, both in response to the central bank's earlier decision to cut reserve requirements and interest rates [1][2] - The LPR was adjusted to 3.0% for the one-year rate and 3.5% for the five-year and above rate, each down by 10 basis points [1][2] - State-owned banks lowered their deposit rates across various terms by 15 basis points, with one-year deposits now at 0.95% [2] Group 2 - The impact of the interest rate cut on bank wealth management products is twofold: short-term, it lowers yields on short-term assets, while long-term, it may boost yields due to economic stimulus effects [2][6] - Bank wealth management products are increasingly seen as a substitute for deposits, especially as one-year deposit rates have fallen below 1% [2][3] - The scale of bank wealth management products has grown significantly, reaching 31.3 trillion yuan, driven by seasonal inflows and improved yields in the bond market [3] Group 3 - Despite the expected benefits of the interest rate cuts, the bond market experienced a slight pullback, as investors had already priced in the anticipated monetary easing [4][5] - The bond market's performance on the day of the rate cut showed mixed results, with yields on various government bonds slightly increasing [5] - Analysts suggest that the current market dynamics indicate a challenging environment for bond investments compared to the previous year, with significant fluctuations expected [6][7]